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Economic Impact of Stem Borer-Resistant Genetically Modified Sugarcane in Guangxi and Yunnan Provinces of China

Ye, Jie, Yang, Ying-Ying, Xu, Li-Ping, Li, Yang-Rui, Que, You-Xiong
Sugar tech 2016 v.18 no.5 pp. 537-545
commercialization, crop yield, decision making, economic impact, farmers, financial economics, issues and policy, pesticides, sugarcane, China
Stem borer incidences in sugarcane result in huge economic losses to sugarcane cultivation worldwide. Genetically modified (GM) sugarcane with stem borer resistance has good prospects for commercialization due to its reduced use of pesticides and increased yield of cane and sugar. The dynamic research evaluation for management system has been used to estimate the economic impact of the commercialization of GM sugarcane in Guangxi and Yunnan provinces of China. The results indicated that GM sugarcane has the potential to increase the cane productivity and reduce the use of pesticides, resulting in economic benefits for the producers as well as the consumers of sugarcane in China, and economic surplus of GM sugarcane in Guangxi and Yunnan has been estimated around 1052.91 and 3413.48 million RMB, respectively, accounting for 23.57 and 76.43 % of the total benefits. It is indicated that the commercialization of stem borer-resistant GM sugarcane has more potential in Yunnan due to the higher use of pesticides in the province. While providing the evidence for high economic impact of GM sugarcane, the study could also help policy makers, farmers and consumers for effective decision-making.